Internal adverts: Sign of a failed performance management system?
THE AUTHOR—Beni By Godfrey Kenneth Beni: Consider working for a company that prides itself on its performance management system. You receive annual ratings, attend calibration sessions, and are described as a “strong performer”. However, when a vacancy becomes available, you learn about it in the same way that an external candidate does— via a public job advertisement. There was no tap on the shoulder, no discussion of your career goals and no indication that your performance had prepared you for progress. You are left wondering: If the system knows I am doing well, how come it does not realise I am ready for the next step? This frustration has prompted some to claim that internal job postings are not a sign of a healthy organisation but, rather, evidence that the performance management system has failed. Is this a true claim? At first glance, the case seems compelling. If a performance management system is working well, it should discover high-potential individuals, track their development and match them to opportunities before they become available. Internal advertisements would be unnecessary in such a system because the organisation would already know who is qualified for each position. The lack of proactive talent matching indicates that the performance system is reactive rather than strategic. This is not only a theoretical worry. According to research, a considerable majority of firms have faced circumstances in which roles were filled externally despite the presence of a good internal applicant, simply because they lacked a systematic approach to uncover that talent. When talent is missed in this manner, the implications are twofold: the organisation spends time and money on external hiring while internal talent, seeing no route for growth, begins to go elsewhere. Internal advertisements as a symptom of a broken system are bolstered by widespread discontent with traditional performance management systems. Many employees and supervisors see performance evaluations as a “recurring formality” that is “process-focused” and does not promote real career development. Some organisations use “forced ranking” or “calibration” systems that compel a certain percentage of employees to obtain lower ratings regardless of their actual performance. Such tactics can make high-performing employees feel undervalued and neglected, turning internal advertisements into a lottery rather than a predictable next step for those who have earned progress. One expert explains a phenomenon in which “number twos”—employees who are good achievers but not quite at the top tier—are dissatisfied by a system that encourages them to self-nominate rather than recognise their potential, driving them to seek other options. Internal advertisements, in this case, are a cause of demotivation and attrition rather than a means of promotion. However, this perspective is overly simplistic. A growing amount of research argues that internal job ads can indicate a mature, fair and well-functioning organisation. Consider Ashok Leyland, an Indian manufacturing business that introduced a transparent Internal Job Posting (IJP) policy that requires all vacancies to be advertised internally for two weeks before considering external hiring. As a result, the company boosted the number of positions filled internally from 3 percent to 22 percent in just one year. The company’s leadership saw this as a success story, noting that managers grumbled about losing talent to other teams, indicating that the method was effective. Internal advertisements were not an indication of failure; rather, they were an intentional plan to foster internal mobility, reward loyalty and preserve institutional knowledge. Similarly, a Scandinavian study found that the vast majority of managers asked preferred internal selection over external hiring, seeing it as more motivating for employees and less expensive than recruiting outside. Internal advertisements are not a failure of performance management in these circumstances; rather, they serve as a tool for putting performance management into action. They enable individuals to communicate their career goals in a systematic, transparent and fair manner while also allowing organisations to match talent to openings. As one expert points out, “The posting process also gives managers another opportunity to provide career feedback and guidance to those who apply but are not chosen”. The feedback is often challenging, but it is necessary for transparency and preparing internal applicants for future positions with the organisation. The key issue is not whether an organisation utilises internal advertisements, but how it employs them. If internal advertisements are only a procedural formality—a box-ticking exercise before a pre-selected candidate is appointed— then they are a symptom of a hollow system that undermines trust. If they are the sole route for employees to advance, with no proactive career conversations or development plans, the performance management system is failing to meet its objectives. Internal advertisements, on the other hand, are a sign of a healthy, transparent organisation when they are part of a larger, data-driven talent mobility framework—where career objectives are constantly discussed, performance data is utilised to uncover potential, and unfilled roles are genuinely disputed. The most effective systems mix proactive succession planning for senior and specialty roles with open internal postings for a broader variety of positions to ensure strategic alignment and fairness. For Malawian employers, the lesson is clear. Internal job postings are not automatically indicative of a poor performance management system. They only become a problem when they are used as a substitute for, rather than an extension of, competent talent management. If an organisation is using internal advertisements because it has no other way of recognising talent, the issue is a lack of a strong performance and development strategy. If it uses internal advertisements in a clear and fair manner to allow employees to compete for progress, it demonstrates maturity. The challenge for every organisation is not whether it posts jobs internally, but if its performance management system offers employees a clear picture of what “good” looks like, whether it delivers honest and constructive feedback, and whether it actively assists employees in advancing their careers. When these foundations are in place, internal advertisements are not a failure but rather an opportunity.
2026-10-01 12:17:08
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